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Transforming	
  Railway	
  
Infrastructure	
  in	
  Ghana	
  through	
  
Public	
  Private	
  Partnership	
  (PPP)	
  
By	
  
Joseph	
  Harrison	
  Mensah	
  
The	
  history	
  and	
  	
  nature	
  of	
  railway	
  
infrastructure	
  in	
  Ghana	
  
GHANA	
  RAILWAYS	
  MAP	
  
Ghana	
  railways	
  were	
  developed	
  to	
  link	
  
•  Major	
  mineral	
  centers	
  and	
  harbours	
  to	
  transport	
  
minerals	
  to	
  harbour	
  for	
  export	
  
•  Major	
  ci:es	
  and	
  towns	
  for	
  	
  transporta:on	
  of	
  passengers	
  
•  Agriculture	
  centers	
  for	
  transporta:on	
  of	
  farm	
  produce	
  to	
  
major	
  towns	
  and	
  ci:es	
  
•  Market	
  Centers	
  to	
  facilitate	
  trade	
  in	
  the	
  country	
  
	
  
	
   In	
  all,	
  the	
  railway	
  infrastructure	
  exist	
  to	
  encourage	
  produc:vity;	
  export	
  of	
  
minerals,	
  :mber	
  and	
  other	
  goods;	
  trade;	
  and	
  easy	
  and	
  less	
  costly	
  movement	
  
people	
  to	
  ensure	
  economic	
  growth	
  
For	
  over	
  20	
  years,	
  the	
  Ghana	
  railway	
  infrastructure	
  has	
  been	
  
obsolete	
  and	
  dilapidated	
  and	
  the	
  Railway	
  Company	
  is	
  almost	
  as	
  
dead	
  due	
  to	
  maintenance,	
  planning,	
  management	
  and	
  investment	
  
problems	
  
The	
  need	
  to	
  redevelop	
  and	
  
advance	
  the	
  infrastructure	
  	
  and	
  
the	
  commercial	
  case	
  for	
  the	
  
private	
  sector	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  1	
  
èThe	
  railway	
  is	
  needed	
  to	
  transport	
  people	
  across	
  town
èCommercial	
  Case	
  1	
  –	
  Demand	
  for	
  railway	
  passenger	
  	
  
transporta:on	
  Services	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  1	
  
èRoad	
  traffic	
  conges:ons	
  partly	
  due	
  to	
  poor	
  alterna:ves	
  	
  	
  	
  
èCommercial	
  Case	
  1	
  –	
  Demand	
  for	
  railway	
  passenger	
  
	
  transporta:on	
  Services	
  	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  1	
  
è  Conges:ons	
  at	
  car	
  sta:ons	
  partly	
  due	
  to	
  poor	
  alterna:ves	
  	
  
è  Commercial	
  Case	
  1	
  –	
  Demand	
  for	
  railway	
  passenger	
  	
  
transporta:on	
  services	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  2	
  
èPost	
  harvest	
  losses	
  following	
  the	
  break	
  down	
  
of	
  railway	
  network	
  linking	
  agricultural	
  and	
  market	
  centers	
  	
  
èCommercial	
  Case	
  2	
  –	
  Demand	
  for	
  railway	
  to	
  transport	
  farm	
  	
  
produce	
  
	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  3	
  	
  
èThe	
  break	
  down	
  of	
  railway	
  network	
  linking	
  mineral	
  centers	
  	
  
and	
  harbours	
  	
  	
  
èCommercial	
  Case	
  3	
  –	
  Demand	
  for	
  railway	
  	
  services	
  for	
  	
  	
  
The	
  transporta:on	
  of	
  minerals)	
  
The	
  need	
  to	
  redevelop	
  and	
  advance	
  railway	
  Infrastructure	
  3	
  	
  
èThe	
  break	
  down	
  of	
  railway	
  network	
  linking	
  mineral	
  centers	
  	
  
and	
  harbours	
  affec:ng	
  mineral	
  transport	
  	
  
èmining	
  companies	
  are	
  resor:ng	
  to	
  the	
  use	
  of	
  trucks	
  for	
  
	
  mineral	
  transporta:on	
  which	
  is	
  very	
  costly	
  	
  
PoliMcal	
  champions	
  and	
  
Stakeholders	
  
	
  
PoliMcal	
  champions	
  and	
  Stakeholders	
  
There	
  are	
  Poli:cal	
  Champions	
  	
  and	
  some	
  significant	
  	
  
level	
  of	
  	
  stakeholder	
  	
  interest	
  and	
  support,	
  which	
  	
  could	
  be	
  beOer	
  
developed	
  	
  
Conclusion	
  
•  Given	
  the	
  need	
  for	
  railway	
  infrastructure	
  to	
  service	
  the	
  
demand	
  for	
  goods	
  (including	
  minerals	
  and	
  farm	
  produce)	
  and	
  
passenger	
  transport,	
  encourage	
  export,	
  facilitate	
  trade,	
  
generate	
  produc:vity	
  and	
  ensure	
  economic	
  growth,	
  there	
  is	
  
a	
  need	
  to	
  redevelop	
  and	
  advance	
  the	
  now	
  dilapidated	
  Ghana	
  
railway	
  infrastructure.	
  	
  	
  
•  Government	
  lacks	
  the	
  planning,	
  management,	
  maintenance,	
  
investment	
  exper:se	
  and	
  capacity	
  required	
  
•  Railway	
  infrastructure	
  is	
  highly	
  capital	
  intensive	
  and	
  carries	
  
risk	
  which	
  could	
  be	
  rightly	
  allocated	
  	
  
•  There	
  exist	
  a	
  commercial	
  case,	
  	
  there	
  are	
  poli:cal	
  champions	
  	
  
and	
  significant	
  stakeholder	
  interest	
  and	
  support.	
  
•  Government	
  can	
  therefore	
  ini:ate,	
  prepare,	
  procure	
  and	
  
implement	
  PPP	
  to	
  engage	
  the	
  private	
  sector	
  	
  to	
  redevelop	
  
and	
  advance	
  the	
  Ghana	
  railway	
  infrastructure	
  

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Transforming Railway Infrastructure in Ghana through Public Private Partnership (PPP)

  • 1. Transforming  Railway   Infrastructure  in  Ghana  through   Public  Private  Partnership  (PPP)   By   Joseph  Harrison  Mensah  
  • 2. The  history  and    nature  of  railway   infrastructure  in  Ghana  
  • 4. Ghana  railways  were  developed  to  link   •  Major  mineral  centers  and  harbours  to  transport   minerals  to  harbour  for  export   •  Major  ci:es  and  towns  for    transporta:on  of  passengers   •  Agriculture  centers  for  transporta:on  of  farm  produce  to   major  towns  and  ci:es   •  Market  Centers  to  facilitate  trade  in  the  country       In  all,  the  railway  infrastructure  exist  to  encourage  produc:vity;  export  of   minerals,  :mber  and  other  goods;  trade;  and  easy  and  less  costly  movement   people  to  ensure  economic  growth  
  • 5. For  over  20  years,  the  Ghana  railway  infrastructure  has  been   obsolete  and  dilapidated  and  the  Railway  Company  is  almost  as   dead  due  to  maintenance,  planning,  management  and  investment   problems  
  • 6. The  need  to  redevelop  and   advance  the  infrastructure    and   the  commercial  case  for  the   private  sector  
  • 7. The  need  to  redevelop  and  advance  railway  Infrastructure  1   èThe  railway  is  needed  to  transport  people  across  town èCommercial  Case  1  –  Demand  for  railway  passenger     transporta:on  Services  
  • 8. The  need  to  redevelop  and  advance  railway  Infrastructure  1   èRoad  traffic  conges:ons  partly  due  to  poor  alterna:ves         èCommercial  Case  1  –  Demand  for  railway  passenger    transporta:on  Services    
  • 9. The  need  to  redevelop  and  advance  railway  Infrastructure  1   è  Conges:ons  at  car  sta:ons  partly  due  to  poor  alterna:ves     è  Commercial  Case  1  –  Demand  for  railway  passenger     transporta:on  services  
  • 10. The  need  to  redevelop  and  advance  railway  Infrastructure  2   èPost  harvest  losses  following  the  break  down   of  railway  network  linking  agricultural  and  market  centers     èCommercial  Case  2  –  Demand  for  railway  to  transport  farm     produce    
  • 11. The  need  to  redevelop  and  advance  railway  Infrastructure  3     èThe  break  down  of  railway  network  linking  mineral  centers     and  harbours       èCommercial  Case  3  –  Demand  for  railway    services  for       The  transporta:on  of  minerals)  
  • 12. The  need  to  redevelop  and  advance  railway  Infrastructure  3     èThe  break  down  of  railway  network  linking  mineral  centers     and  harbours  affec:ng  mineral  transport     èmining  companies  are  resor:ng  to  the  use  of  trucks  for    mineral  transporta:on  which  is  very  costly    
  • 13. PoliMcal  champions  and   Stakeholders    
  • 14. PoliMcal  champions  and  Stakeholders   There  are  Poli:cal  Champions    and  some  significant     level  of    stakeholder    interest  and  support,  which    could  be  beOer   developed    
  • 15. Conclusion   •  Given  the  need  for  railway  infrastructure  to  service  the   demand  for  goods  (including  minerals  and  farm  produce)  and   passenger  transport,  encourage  export,  facilitate  trade,   generate  produc:vity  and  ensure  economic  growth,  there  is   a  need  to  redevelop  and  advance  the  now  dilapidated  Ghana   railway  infrastructure.       •  Government  lacks  the  planning,  management,  maintenance,   investment  exper:se  and  capacity  required   •  Railway  infrastructure  is  highly  capital  intensive  and  carries   risk  which  could  be  rightly  allocated     •  There  exist  a  commercial  case,    there  are  poli:cal  champions     and  significant  stakeholder  interest  and  support.   •  Government  can  therefore  ini:ate,  prepare,  procure  and   implement  PPP  to  engage  the  private  sector    to  redevelop   and  advance  the  Ghana  railway  infrastructure